Title
Adoption of Resolution Amending the Fiscal Year 2025-2026 Budget by Reducing Revenue and Appropriations in Capital Improvement Program C65200 by $185,000, Allocating $115,000 from Fund 305, Transportation Development Impact Fee (DIF) to Increase Revenue and Appropriations for Capital Improvement Program C65600 by $300,000 for the Central Avenue Safety Improvements Project.
In accordance with the California Environmental Quality Act (CEQA), this action is categorically exempt from further environmental review pursuant to CEQA Guidelines Section 15301 (Existing Facilities) and 15304 (Minor Alterations to Land, including bicycle facilities). (Public Works C65600)
Body
To: Honorable Mayor and Members of the City Council
From: Adam W. Politzer, Interim City Manager
EXECUTIVE SUMMARY
The Central Avenue Safety Improvements Project awarded by City Council in September of 2024 and under construction since January 2025, is now nearing completion. Final project wrap up costs will include fees from East Bay Municipal Utility District (EBMUD) and Alameda Municipal Power (AMP), as well as consultant and staff time required over the coming months to complete project closeout.
Staff requests City Council approval of the proposed budget resolution to appropriate the necessary funds to complete and close out the project.
BACKGROUND
The Central Avenue Project includes a road diet with two motor vehicle travel lanes, a two-way left-turn lane as a center lane, bikeways and, three roundabouts at 1) Main Street/Pacific Avenue/Central Avenue; 2) Third Street/Taylor Avenue/Central Street; 3) Fourth Street/Ballena Boulevard/Central Avenue, pavement resurfacing, improved bus stops, enhanced pedestrian crossings, and street trees/raingardens.
The project is expected to be substantially complete this spring with final punchlists and project closeout continuing into the summer. Additional funds are needed to ensure that the streetlights can be energized and the irrigation for new plantings can be connected to a water supply.
DISCUSSION
AMP
Many streetlights within the City of Alameda (City) are not connected to an electrical meter. The City has an agreement with AMP to charge a monthly rate for each unmetered streetlight. When streetlights are on the same circuit as other infrastructure, for example, irrigation controllers or traffic signals, a meter is required, which requires field work by AMP staff.
For the Central Avenue Safety Improvements Project, each roundabout has new streetlights as well as planting and irrigation, which requires an irrigation controller. New meters will be needed at all three roundabouts. Additionally, the existing meter that serves the traffic signal at Webster Street will be relocated. The overall estimate fees related to AMP work is $35,000.
EBMUD
All three roundabouts will have landscaping, complete with appropriate irrigation. Prior to construction these areas did not have irrigation and new water lines will be installed to ensure long-term health of the proposed new plantings. A new water meter will be needed at each roundabout, which will require design and field work by EBMUD staff. The overall estimate of fees associated with EBMUD work is $140,000.
Consultant and City Staff
The design consultant for the project is CDM Smith, Inc. On September 2, 2025, separate from the construction agreement award, City Council approved a Sixth Amendment to the Agreement with CDM Smith, Inc., increasing their compensation by $235,500. At that time Staff did not request additional project budget to cover this increase. City Staff has been able to recoup some of these funds by efficiently using time on the project, however it is anticipated that an additional $125,000 is needed for consultant and staff time to complete the project.
ALTERNATIVES
• Approve the proposed budget resolution
• Modify the budget resolution
• Do not approve the proposed budget amendment, which will result in:
1. Electrical and water meters will not be installed until the project is otherwise complete and unspent contractor funds, if available, can be unencumbered to pay the fees. This would mean no lighting or water for landscaping irrigation until approximately September 2026.
2. If there are no unspent funds that can be unencumbered, no electrical or water meters will be installed. This would mean no lighting or water for irrigation will be available.
FINANCIAL IMPACT
The Central Avenue Safety Improvements project is budgeted in Capital Improvement Program (CIP) C65600. This project is funded by federal and state grants, Measure B and BB Local Streets and Roads monies, Transportation Development Impact Fees (DIF), and the General Fund.
The difference between the funding already appropriated and the needed funds is $300,000. To provide the additional funding required to complete the project, staff recommends transferring $185,000 of funds budgeted in CIP Project C65200 Clement Avenue Safety Improvements and allocating $115,000 of Transportation DIF funds to CIP Project C65600 which will provide the additional $300,000 needed to complete this project.
CIP Project C65200 was completed and the work was accepted by City Council on September 2, 2025. After closeout of the project a balance of $185,000 remains in the project budget and available for use.
The purpose of the Transportation DIF is to provide and improve transportation facilities to accommodate increased traffic generated by new development. Use of Transportation-DIF funds is requested because CIP Project C65600 will improve 1.7 miles of existing roadway, including traffic signal upgrades at three intersections: Central Avenue and Webster Street, Central Avenue and 8th Street, and Central Avenue and Sherman Street.
Table 1: Transfer of Funds
|
Budget Request |
Fund No. |
Fund Description |
Project Number |
Project Name |
Budget Amount |
|
Decrease Expenditure Budget |
310 |
Capital Fund |
C65200 |
Clement Avenue Safety Improvements |
-$185,000 |
|
Transfer Out |
305 |
Transportation DIF |
NA |
NA |
- $115,000 |
|
Transfer In |
310 |
Capital Fund |
NA |
NA |
$115,000 |
|
Increase Expenditure Budget |
310 |
Capital Fund |
C65600 |
Central Ave Safety Improvements |
$300,000 |
The Central Avenue Safety Improvements project is ahead of schedule. The City anticipates cost savings by completing the project early. Additionally, value engineering has been a priority throughout the project and staff will continue to seek opportunities for cost savings, however, these savings will not be seen until project closeout. In order to keep the project moving the utility providers require immediate compensation. Any unspent funds will be returned to Fund 305 Transportation-DIF after the project is closed.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action is consistent with the Alameda Municipal Code and the City's Mobility Element of the General Plan with the four main goals of equity, safety, choices and sustainability.
General Plan policies support complete streets, which are designed for all modes of transportation. General Plan policies LU-3 Complete Streets and ME-10 Movement, Action A, Complete Streets. The project is also included in Resolution 15849, Making Significant Safety Improvements to Alameda Streets in 2022 and Beyond to End Fatalities and Serious Injuries.
The Central Avenue Project implements the City 2018 Transportation Choices Plan, 2019 Climate Action and Resiliency Plan, 2019 Intersection Daylighting Policy, 2019 Lane Widths Policy, 2021 Vision Zero Action Plan and 2022 Active Transportation Plan by achieving four overarching objectives as follows:
1. Reduce crashes and improve safety for all modes of travel and for all members of the community including children, seniors, people with disabilities, bicyclists, transit riders and automobile drivers;
2. Improve bicycle and pedestrian access and safety between West Alameda and Central Alameda and along the San Francisco Bay Trail;
3. Reduce greenhouse gas emissions; and
4. Reduce automobile delay and improve traffic operations and travel times.
This Project implements the City Fiscal Year 2023-26 Strategic Plan Priority to Invest in transportation, Infrastructure, Economic Opportunities and Historic Resources, specifically Project TIE12 to Construct Central Avenue safety improvements including roundabouts and bicycle lanes. This action is subject to the Levine Act.
ENVIRONMENTAL REVIEW
In accordance with CEQA, this action is categorically exempt from further environmental review pursuant to CEQA Guidelines Section 15301 (Existing Facilities) and 15304 (Minor Alterations to Land, including bicycle facilities). For the National Environmental Policy Act (NEPA) determination, Caltrans has specified that this project is a categorical exclusion under 23 Code of Federal Regulations (CFR) 771.117(c)(3).
CLIMATE IMPACT
Since vehicle miles traveled in Alameda is the largest source of greenhouse gas emissions in Alameda, safety improvements in support of pedestrians, bicyclists and transit will have a positive climate impact.
RECOMMENDATION
Adopt a resolution amending the Fiscal Year 2025-2026 Budget by reducing revenue and appropriations in Capital Improvement Program C65200 by $185,000, allocating $115,000 from Fund 305, Transportation Development Impact Fee (DIF) to increase revenue and appropriations for Capital Improvement Program C65600 by $300,000 for the Central Avenue Safety Improvements Project.
Respectfully submitted,
Erin Smith, Public Works Director
By,
Scott Wikstrom, City Engineer
Brendin Christolear, Supervising Civil Engineer
Financial Impact section reviewed,
Ross McCarthy, Finance Director